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2Merkato.com·3 min read·medium

Ethiopia Attracts USD 4.32 Billion in Foreign Direct Investment in 2025/26 Fiscal Year

Ethiopia Attracts USD 4.32 Billion in Foreign Direct Investment in 2025/26 Fiscal Year
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Ethiopia reported a USD 4.32 billion inflow of Foreign Direct Investment for the 2025/26 fiscal year, an 8 percent increase from the previous year. The Ethiopian Investment Commission attributed this growth to ongoing macroeconomic reforms and increased project implementation.

Why it matters

The data signals growing international investor confidence in Ethiopia's economic reform agenda and its potential as an emerging industrial hub in Africa.

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Ethiopia secured USD 4.32 billion in Foreign Direct Investment (FDI) during the 2025/26 Ethiopian fiscal year, marking an 8 percent increase from the previous year and reflecting growing investor confidence in the country's economic reform agenda.

The figures were announced during the annual performance review of the Ethiopian Investment Commission (EIC), where Commissioner Zeleke Temesgen outlined the Commission’s achievements and priorities for the coming fiscal year.

According to the Commissioner, the reported FDI inflow does not yet include investments pledged during the 4th Invest in Ethiopia 2026 Forum by companies that have subsequently obtained investment licenses. He noted that the Commission is working closely with investors to ensure that licensed projects move quickly into implementation.

During the fiscal year, the EIC issued 528 new investment licenses, exceeding its annual target and achieving more than 100 percent of its planned performance.

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